Sure, when you go to an open house showing, you are primarily focused on whether the home will be a good fit for your family and your stuff.
Will your enormous floor-to-ceiling bookcase fit against the living room wall? Is there enough space to fit a table big enough for your whole family to sit down and eat together? Are the schools good? How much work needs to be done for it to pass muster? All these are important things to determine at an open house, but that’s not the full extent of things.
One of the most useful things you can do at an open house is listen to what the agent and the other prospective buyers are saying. They can tell you a lot.
“The price is flexible.”
As soon as you hear these words, if you love the house, you are golden. This is basically informing you that the sellers have no expectations of getting the full price for the house, which gives you the upper hand in negotiations. The sellers are probably “motivated,” meaning that they want or need to get the hell out of Dodge. Take note of items around the house that are in need of repair or updating, and have them ready as your arsenal when you go to the offer table.
The words “foreclosure” or “divorce”
These are two more magic words that you might hear listening to the grapevine at an open house, and they again tell you that you might be able to score the house for a good price. If the owners are trying to stave off foreclosure, they will be highly motivated to get the house sold. If the couple that owns the house is getting divorced and splitting their assets, they too have a good reason to want to cut and run. You may be able to use these facts to your advantage when making an offer.
“This house is so adorable, honey!”
Beware of competition. If you are looking at a house seriously and you overhear someone else cooing about it being the perfect nest, you have to make your move quickly and powerfully. Submit an offer ASAP with your best possible price. Odds are that the lovebirds won’t be far behind you, and you want to have the best chance possible of either getting a contract first, or at least submitting the most competitive bid.
Sure, your mother often told you to avoid eavesdropping, but keeping your ears open at an open house may just hand you the keys you need to lock a great deal in place, or secure the house of your dreams.
